SubJect: Ultrapure water market growth has many causes
A resurging semiconductor industry, growth in flat panel display production, steady expansion of the biotechnology industry, and the commitment to new coal-fired plants in China and the U.S. are creating a bright outlook for the ultrapure water industry in the coming five years.
This week American Electric Power, who has until recently held the position that regulatory constraints have made it impossible to build a new coal-fired plant, has now joined the 60 other utilities with coal plants in the planning or construction stage. Even with renewed activity in the U.S., the huge number of coal-fired plants under construction in China makes the U.S. effort look small by comparison.
China is also going to be investing in many ultrapure water systems for its growing semiconductor industry. Even Japan, which has cut fab investment substantially in recent years, is now moving ahead with a number of projects. Water production in China will double over the next few years. Investment in ultrapure water systems will exceed that of the U.S. This is due to both the power and semiconductor activity. However, the installed base of ultrapure water systems will remain substantially higher in the U.S. Therefore, the repair and replacement business in the U.S. will be considerably larger than in China.
Semiconductor production revenues for each country are forecast through 2008. Investment in semiconductor equipment is also forecast through 2008. The report also provides forecasts of new MW of gas turbines, coal-fired generators, and nuclear plants for each country. Similar forecasts are provided for flat panel displays, disk drives, pharmaceuticals, and other industries which utilize ultrapure water.
The investment in ultra pure water systems and components such as instrumentation, piping, etc. are forecast for each application in each country in: Ultrapure Water: World Markets http://www.mcilvainecompany.com/water.html#N029 .
Bob McIlvaine
847-784-0012